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Today, Michael Edwards just turned 45 years old and is looking forward to retirement at age 65. You are his investment counselor and you advise
Today, Michael Edwards just turned 45 years old and is looking forward to retirement at age 65. You are his investment counselor and you advise him that he needs to invest some money today so that he can have a decent retirement when he turns 65. Michaels goal when he retires is to withdraw $60,000 a year until he turns 80 years old. As his advisor, how much would you tell Michael to invest today so that he can withdraw that amount upon his retirement? Assume that he can invest his money at 7% compounded annually.
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